ELDERS LIMITED — Capital/Financing Update 2014

Mar 6, 2014

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7 March 2014

Forestry Exit Update

 Agricultural Land Trust Transaction Complete

 Some leases remain

Elders (ASX:ELD) notes that Agricultural Land Trust (ASX:AGJ) ( ALT ) has today announced completion of a restructure approved by its unit holders on 7 February 2014.

Completion of ALT’s restructure results in the following outcomes for Elders:

• (a) Elders has surrendered its lease over ALT’s property known as Linkletters;

• (b) Elders has forgiven subordinated debt owed by ALT to Elders;

• (c) ALT has cancelled 60,536,628 units in ALT held by Elders, resulting in Elders holding a remaining 5,700,000 units in ALT. Elders has agreed to cancel this residual unit holding subject to the terms set out in ALT’s ASX announcement dated 7 February 2014.

In a separate transaction which has also completed today, Elders has surrendered a further two leases in consideration for the transfer of the economic interest in five former forestry properties located in Esperance to the landlord.

The completion of these transactions results in a saving to Elders of approximately $6 million in annual rent and outgoings.

Elders’ exit from forestry is now largely complete other than the continuation of a small number of rural property leases, with varying maturities, having annualised aggregate rent in 2014 of approximately $2 million. Negotiations in connection with those remaining leases continue.

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